What Industry is Bigger than Retail in U.S.?

Wholesale Distribution. And the average citizen will live their entire life without giving this vital industry a single thought. The average Congressman or other members of the Federal government know little about the industry as well.

The wholesale distribution industry has annual sales greater than that of the retail trade industry, to the tune of $4 trillion or approximately 140% larger. Today, there are over 40,000 distributor companies with thousands of locations and hundreds of thousands of employees throughout all fifty U.S. states.  These numbers make this group a large, diverse and politically influential economic constituency. The distribution industry is overwhelmingly populated by small- to mid-size independent businesses that are community rooted, and often second or third generation.

Distribution is everywhere. Manufacturers rely on it. Utilities rely on it. Every service professional, from accountants to plumbers to mechanics to builders to electricians, rely on it. You and your family rely on distributors to lead your everyday lives, too.

As the economy improves and companies are in expand-and-grow mode, distributors will need to improve their operational controls for better bottom line profitability. That is where business management software providers such as xTuple can help the wholesale distribution industry.

Photo credit: Commercial Cleaning Maryland on Flickr